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AlexFokin [52]
2 years ago
13

Purely competitive industry X has constant costs and its product is an inferior good. The industry is currently in long-run equi

librium. The economy now goes into a recession and average incomes decline. The result will be.
Business
1 answer:
jasenka [17]2 years ago
5 0

Answer:

increase in output, but not in the equilibrium price of the product. 

Explanation:

The options weren't provided. The full question can be found here - https://www.chegg.com/homework-help/questions-and-answers/perfectly-competitive-industry-x-constant-costs-product-inferior-good-industry-currently-l-q39354625

An inferior good is a good whose demand increases when income falls and whose demand falls when income rises.

When average income falls, the demand for good X rises. The level of output increases as a result of the rise in demand but price doesn't change.

I hope my answer helps you.

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If a firm engages in final assembly in its home operations, then which of the following operations of the firm in a foreign coun
Talja [164]

Answer:

D) Marketing

Explanation:

Vertical foreign direct investment (FDI) refers to companies moving upstream (R&D and manufacturing process) or downstream (distribution and selling process) in different value chain stages in a host country.

In this case, downstream vertical FDI includes marketing activities done at the host country. Upstream vertical FDI would include the purchase of component parts in the host country.

3 0
3 years ago
What are the indicators are used to carry out capital budgeting for different ventures of a company.
Kryger [21]

Answer:

The answer is below

Explanation:

The indicators that are used to carry out capital budgeting for different ventures of a company are:

1. Profitability of the project

2. Profitability for equity investors

3. Financial sustainability of the project

These essential indicators assist the firms to evaluate a future project's lifetime cash inflows and outflows to know whether the probable returns would be yielded and satisfy an adequate target goal.

4 0
3 years ago
In most cases, what is the most expensive promotion tool?
REY [17]

Answer: (B) Personal selling

Explanation:

 The person selling is basically refers to the two-way communication process in which we sell our products and the services face to face to the customer.

The personal selling is also known as the interaction form of selling the products to the user.

The personal selling is one of the most expensive promotion tool as it is hardly used for advertising the products. It mainly involve spreading the information regarding the specific organization products and the services.

Therefore, Option (B) is correct.

6 0
3 years ago
Franklin Electric is presently generating earnings available to common shareholders of​ $7.25 per share. The​ firm's income tax
Sphinxa [80]

Answer:

$1.45

Explanation:

First of all we need to know what is earnings available to common shareholders (EACS).

EACS is the part of earnings which is available to common shareholders after deducting preference dividend from net income after taxes.

We can understand the as follows

Net Profit after taxes $ xxxx

Less: Preference dividend (xxxx)

Earnings available to.common shareholders xxxx

From this amount is we divide number of common stocks / shares, we will get Earnings Per Share (EPS)

EPS = Earnings available to equity shareholders / number of common stock shares

Dividend Payout Ration to common stock (given) = 20%

It means the comapny is paying 20% of EPS to common stock holders and 80% of EPS is tthe retained earnings of the company

Hence dividend to common stockholder = Earnings available.to common shareholders × dividend payout ratio

= $7.25 × 20%

= $1.45

$1.45 is the dividend which company pay to common shareholders

3 0
2 years ago
g Kaye's Kitchenware has a market/book ratio equal to 1. Its stock price is $12 per share and it has 5.2 million shares outstand
Ede4ka [16]

Answer:

48.00%

Explanation:

For computing the debt to capital ratio, first we have to determine the equity value and debt value which is shown below:

Equity value = Number of outstanding shares × stock price per share

                    = 5.2 million shares × $12

                    = $62.4 million

We know,

Total capital = Debt + equity

$120 million = Debt + $62.4 million

So, the debt would be

= $120 million - $62.4 million

= $57.6 million

Now the debt to capital ratio would be

= $57.6 million ÷ $120 million

= 48.00%

7 0
3 years ago
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